Foreclosures and Deeds

[JoeC]

Has anyone heard of deeds being null and void if the property goes into foreclosure?

I was told today by a title company when an easement, license, or agreement deed is recorded after the deed of trust records, that all new deeds are junior to that deed of trust and if the property goes into foreclosure those new deeds could be null and void. And there would be a cloud on the title of the servient property.

The title company also said this would apply to deeds recorded while the property is tax delinquent and is sold at a public auction.

Now, I could understand the sale of real property but not easements.
I have a real hard time with this…..

Any thoughts?
Thanks Joe

[pls7809]

I would also find that hard to believe, but in court anything can happen.

[Propst]

the easement would not be binding on them.
Usually we will have a "Subordination" recorded by the Beneficiaries, stating that their interest is subordinate to the subsequently recorded document. (that is, subsequent to the original DOT)
For LLAs we use a modification to the Deed of Trust.